Geologic Storage Enterprise & Geothermal Resources
If enacted, HB 1165 would amend existing state laws regarding the oversight and regulation of geothermal resources and geologic storage. It will provide clarity on the roles of various state agencies and streamline the permitting process for geothermal operations. Additionally, it emphasizes the need for financial assurance from operators to cover the costs related to potential orphaned facilities, ensuring that the state is prepared for future environmental management challenges caused by these operations.
House Bill 1165 focuses on the regulation and management of geologic storage operations and geothermal resources, with a particular emphasis on ensuring safe and sustainable practices. The bill establishes the Geologic Storage Stewardship Enterprise tasked with overseeing stewardship fees, long-term monitoring, and the proper closure of geologic storage facilities for injected carbon dioxide. By facilitating more consistent regulations across the state concerning geothermal and geologic storage operations, the bill aims to address the challenges posed by climate change and support the transition to a low-carbon economy.
The sentiment surrounding House Bill 1165 appears to be largely supportive among environmental advocates and energy management officials who recognize the necessity for regulated geologic storage to meet greenhouse gas emission reduction goals. However, there is also concern among some stakeholders over the potential costs associated with new fees imposed on geothermal operators, which might adversely impact their operations, particularly small businesses in the energy sector.
A notable point of contention stems from the implementation of stewardship fees levied on operators for the maintenance of geologic storage facilities. Some argue that while stewardship is essential for public safety and environmental protection, the financial burden these fees impose may discourage investment and innovation in geothermal energy. There are also concerns about the impacts on existing operations and the permitting processes, particularly regarding the perceived restrictiveness of regulations that may affect local power dynamics and economic development opportunities.